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Mutual fund companies are planning products to cater to demand for short-term high-yield bond funds. Fidelity Investments and Eaton Vance are both awaiting approval from the Securities and Exchange Commission for new products. "You're getting pretty much all the yield and a lot less of the interest-rate risk," said Louis Kokernak of Haven Financial Advisors.

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Fidelity Investments‎, Schroders and other fund managers have written to the AFME board seeking improved standards in the European market of high-yield bonds. Investors have asked the group to "refresh and expand" guidelines. Gary Simmons, director of the high-yield division at AFME, says the letter is meant to start a conversation with corporate borrowers, bond underwriters and private equity firms.

Invesco PowerShares is set to launch on NYSE Arca an exchange-traded fund buying global short-maturity high-yield bonds. The PowerShares Global Short Term High Yield Bond Portfolio will buy private and publicly traded below-investment-grade bonds maturing in three years or less, according to the prospectus.

High-yield bonds are so popular among yield-hungry investors that some funds believe they are dangerous. Fund managers T. Rowe Price and Vanguard have started turning down people who want to invest in their high-yield bond funds. The funds said they are running out of bonds worth buying.

Source and PIMCO introduced an exchange-traded fund that buys short-term high-yield corporate debt. The PIMCO Short-Term High Yield Corporate Bond Index Source ETF picks investments from the Bank of America Merrill Lynch 0-5 Year US High Yield Constrained Index, which has more than 800 securities that mature within five years.